OIG issues report on FHFA review of Enterprises' underwriting standards

This story appeared in Bank Digest.

The Office of Inspector General for the Federal Housing Finance Agency has issued its "Compliance Review of FHFA's Implementation of Its Procedures for Overseeing the Enterprises' Single-Family Mortgage Underwriting Standards and Variances." This compliance review is related to an internal process adopted by the FHFA in 2013 for review of Fannie Mae's and Freddie Mac's (the Enterprises) single-family mortgage purchase underwriting standards and variances to them. The process establishes three key requirements for oversight of the Enterprises' single-family mortgage purchase underwriting standards, variances to them, and other aspects of their single-family mortgage lines of business by the FHFA's Office of Housing and Regulatory Policy (OHRP).

In the compliance review, the OIG reports on the results of its verification testing of the OHRP's implementation of the process's three key requirements during the period January 2014 through March 2015.